TOOL 4.5
Is it legally perfect?
| Do we have the original documents? | – Account opening / signing authorities – Loan agreements – ISDA Documentation – Collateral – Insurance policies/certificates/schedules – Other |
| Are they correctly signed and completed as required by: | – The Bank’s and legal counterparties’ internal articles of association? – Relevant jurisdictions? – Has document registration and payment of the related fees /taxes taken place? – Have all relevant 3rd parties been advised? – Were all conditions precedent met? |
| Has the documentation been signed off by: | – Internal / external lawyers? – Loan administration? – Are there any documents still in work in progress? |
| Could the Bank be accused of implicitly | – Not meeting its commitments? – Changing the terms and conditions? – Are other contracts, on which the Bank is relying, still in place? |
Can the Documentation be Easily Enforced?
– How many jurisdictions are involved?
– How easy is it to obtain legal recognition of an event of default in each jurisdiction?
– Does legal recognition of default give the bank the right to seek immediate legal redress and power of sale over collateral?
